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The real problems for Disney emerged in the final months of 1987. Though the Disney-MGM Studio Backlot had originally been budgeted at $150 million to $300 million, in September Disney received new estimates from architecture, engineering, and construction firms that placed the price tag at $611 million. The price tag for some areas, such as the Hyperdrome, originally budgeted at $205 to $251 per square foot, had more than doubled. To add to the bad news, Disney’s original plan to lease out part of the Backlot to traditional retailers wasn’t working out so well, as many retailers were unwilling to invest in such an unusual new venture. Taken together, these two reports forced Disney to scale back its plans. In October, executives at MGM added to Disney’s troubles by demanding that the MGM name be removed from the California park. MGM-UA Chairman Lee Rich claimed that the agreement to partner with Disney for a park in Florida did not give Disney the right to build a second MGM park in California. “We were very upset about it,” Rich told the press. “We’re going to do anything we can to get them not to use it.” […]